Since 2019, Zimbabwean telecom operators have regularly revised their prices upwards. However, these adjustments have always proved ineffective, particularly due to the economic crisis in the country.
The Post and Telecommunications Regulatory Authority (POTRAZ) has approved a further increase in tariffs for services provided by telecom operators. The latter will immediately implement an initial increase of 50% and then another increase of 50% from April 1.
Liquid Intelligent Technologies said the pricing adjustment was inevitable given the operating environment, which has seen business costs increase in tandem with exchange rate fluctuations. ” In order for us to continue to provide you with the best possible quality of service, it is necessary to constantly upgrade and improve the network infrastructure ,” the company added.
According to POTRAZ data for Q3 2022, operating costs for mobile operators rose 97.1% to 48.6 billion Zimbabwean dollars ($150.9 million), while those for fixed operators increased by 73.8% to reach ZWL 9.9 billion ($30.7 million). The increase in operating costs is notably due to hyperinflation, the depreciation of the Zimbabwean dollar, the vandalism of telecom infrastructure and power cuts.
The new tariff adjustment should enable telecom operators to bear the costs and generate more revenue for capital expenditure and the extension of their respective networks. ” We will continue to push for tariff revisions that maintain the real value of our service offerings ,” Econet Zimbabwe said.